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Fair Value Option (Tables)
 9 Months Ended
Sep. 30, 2017
Fair Value Disclosures [Abstract]  
Fair Value, Liabilities Measured on Recurring Basis
The following table summarizes fixed rate debt issuances accounted for under FVO:
 
September 30, 2017
 
December 31, 2016
 
(in millions)
Fixed rate debt accounted for under FVO reported in:
 
 
 
Long-term debt
$
253

 
$
1,317

Due to affiliates
—

 
485

Total fixed rate debt accounted for under FVO
$
253

 
$
1,802

 
 
 
 
Unpaid principal balance of fixed rate debt accounted for under FVO(1)
$
236

 
$
1,712

 
(1) 
Balance includes a foreign currency translation adjustment relating to our foreign denominated FVO debt which decreased the debt balance by $7 million at September 30, 2017 and decreased the debt balance by $310 million at December 31, 2016.
Components of Gain (Loss) on Debt Designated at Fair Value and Related Derivatives
The following table summarizes the components of the gain (loss) on debt designated at fair value and related derivatives reflected in the consolidated statement of income (loss) for the three and nine months ended September 30, 2017 and 2016:
 
Three Months Ended
September 30,
 
Nine Months Ended
September 30,
 
2017
 
2016
 
2017
 
2016
 
(in millions)
Mark-to-market on debt designated at fair value(1):
 
 
 
 
 
 
 
Interest rate component
$
8

 
$
24

 
$
34

 
$
42

Credit risk component(2)
—

 
(27
)
 
—

 
(8
)
Total mark-to-market on debt designated at fair value
8

 
(3
)
 
34

 
34

Mark-to-market on the related derivatives(1)(3)
(1
)
 
(16
)
 
(27
)
 
(40
)
Net realized gains on the related derivatives(1)
1

 
11

 
17

 
38

Gain (loss) on debt designated at fair value and related derivatives
$
8

 
$
(8
)
 
$
24

 
$
32

 
(1) 
The derivatives associated with debt designated at fair value are economic hedges but do not qualify for hedge accounting. See Note 6, "Derivative Financial Instruments," for additional discussion of these non-qualifying hedges.
(2) 
As discussed below and more fully in Note 13, "New Accounting Pronouncements," beginning January 1, 2017, the fair value movement on fair value option debt attributable to our own credit spread is recorded in common equity as a component of other comprehensive income (loss). For the three and nine months ended September 30, 2017, the fair value movement on fair value option debt attributable to our own credit spread was a loss of $5 million and loss of $13 million, respectively.
(3) 
Mark-to-market on debt designated at fair value and related derivatives excludes market value changes due to fluctuations in foreign currency exchange rates. Foreign currency translation gains (losses) recorded in derivative related income (expense) associated with debt designated at fair value was a loss of $4 million and a loss of $22 million for the three months ended September 30, 2017 and 2016, respectively, and a loss of $76 million and a loss of $68 million for the nine months ended September 30, 2017 and 2016, respectively. Offsetting gains (losses) recorded in derivative related income (expense) associated with the related derivatives was a gain of $4 million and a gain of $22 million for the three months ended September 30, 2017 and 2016, respectively, and a gain of $76 million and a gain of $68 million for the nine months ended September 30, 2017 and 2016, respectively.